Finance Giants Urge Parents: Teach Kids Financial Literacy Early!

(WIFR) - If you have a teen looking for a summer job, now is the time to talk to them about smart ways to handle their earnings.

According to the National Financial Educators Council , around 70% of students don’t have access to financial literacy classes in school.

Jeff Lewis, a financial advisor with Savant, says that can make things hard when people start making money.

“Students need to know about it and, for whatever reason, we’re just lacking in that area,” Lewis said, “And I think we’re doing good work and good progress within school districts to take the next step in that area, but for students who aren’t getting access to those resources, I would encourage them to go online.”

Starting a bank account, understanding saving techniques, and grasping the concept of credit are all integral aspects of maturing in today’s world.

Gina Caruana, Northwest Bank The head of retail suggests that parents ought to start discussions about money management with their teenagers prior to them receiving their initial paychecks.

“As you are doing things at home, you’re online banking or you’re paying a bill, involve your child in that,” said Caruana.

When opening accounts, Caruana recommends families start slow. She says without proper financial skills, young people can quickly dig themselves into holes.

She shares the following tips for families and teens:

Understand the difference between credit and debit cards
Explain why safeguarding financial data is crucial.
Stay savvy when establishing your credit score and ensure you clear your credit card balances.
Open a savings account

Caruana stated, "A savings account is less transaction-heavy and experiences much lower levels of fraud." He added, "Once you begin establishing yourself and get nearer to possibly securing employment and requiring a debit card, you can progress to the next stage."

Lewis mentions that there are resources accessible for individuals aiming to enhance their financial knowledge. Both Lewis and Caruana suggested this recommendation. Greenlight To assist parents in instructing children about spending money and handling balances.